2 ms·
> Housing is less volatile It's for the same reason that PE returns are less volatile. The assets are illiquid and don't get repriced often. They're sold when
by jeffreyrogers 8y ago
> Housing is less volatile
It's for the same reason that PE returns are less volatile. The assets are illiquid and don't get repriced often. They're sold when it's convenient for the seller, which tends to be when they can make money, so the returns appear more less volatile then they actually are.
- kgc 8y agoThe document mentions that the majority of returns through housing are through rents collected (6%), not capital appreciation (1%). So, not sure about your point.